PORTLAND, Ore. (AP) – The Oregon Tax Court has sided with Democratic lawmakers on a lawsuit filed last year by a Republican state senator hoping to overturn a controversial tax law.
The Oregonian/OregonLive reports that if Sen. Brian Boquist, R-Dallas, had prevailed, the state could have been left with a quarter-billion dollars less in tax revenue in the current two-year budget of $22.5 billion.
But the court backed the state in a March 21 ruling, finding that the law that denies an additional tax break for certain business owners complies with the Oregon Constitution. Boquist said Thursday that he does not plan to appeal.
Senate Bill 1528 repealed a tax break for people who earn income from certain businesses, such as partnerships and S corporations, and pay taxes on their personal tax returns.